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EDISI KHUSUS JSB ON MARKETING, 2005 25

THE ROLE OF CHILDREN IN FAMILY DECISION MAKINGA Theoretical Review*)

Sri Rejeki EkasasiAkademi Manajemen Perusahaan YKPN Yogyakarta

Abstract

Family is the basic unit where most individuals learn about product categories, how to consume it, andsoon. So, understanding family buying behavior is very important. It used to be that husband and wife holddominant influence family decision-making process. However, now, their role is changing. Today, childrens role infamily decision-making process is also significant today. Their influence relates to a wide variety of productsneeded by their family, or not just to the items that directly relate to their need, such as toys or foods. This means

that, to market successfully to the children, marketers must understand childrens buying decision making processand what media that can be used to socialize their products to them.

Key words: family decision-making, childrens role in family decision making, consumer socialization.

INTRODUCTION

The effect of the family on consumer behavior has often beenoverlooked. Until relatively recently, the implicit assumption that family ex-erts of its members has been commonly employed. During the past twodecades, however, consumer decision making within the family has re-ceived growing amount of attention because of the effect the family canexert over the consumer activities of its members (Burns 1992).

Such decision-making activity typically involver several familymembers who play a variety of roles in the process. Furthermore, childrenappear to be major emerging players in the family decision making process.McNeal estimates that, in United States, 4-12 years old influence pur-chases of more then US$ 130 billion (Lackman & Lanasa 1993).

The purpose of this paper is to discuss the role of children in thedecision making process, especially in developed countries such as UnitedStates and Australia. However before this, the family decision-making willbe reviewed and a model family decision-making will be presented.

FAMILY DECISION MAKING

The family is a major influence in the consumer behavior process.As the basic group, which an individual belongs, the family provides earlychildhood learning about products and product categories, provides the

*) Jurnal Siasat Bisnis Edisi Th. I Vol. 3, Nopember 1996


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ISSN : 0853 7665 Sri Rejeki Ekasasi, The Role of Children in Family Decision Making


Figure 1. Husband-wife roles in family decisions by product category

100% 50% 0%

elative Influence ofusbands andifes

Wife cloting

Wife Dominant

Food

Kitchen Ware

AUTOMATIC

Husbands Clothing

Luggage

Camera

Husband Dominant

Hardware Lawn mower

Vacation

JOINT

Reorient

TV

Car

Extent of roles specialization

Source: Assaei, H., 1992, Consumer Behavior & Marketing Action. (4th.edri) PWS-KENT Co., Boston, USA, 462

Figure 2. Changes in husband-wife roles from problem recognition to final decision

100% 50% 0%

Relative Influence ofHusbands andWifes WIFE DOMINANT

AUTOMATIC1= Problem Recognitions2= Information Search3= Final Decision

HUSBAND DOMINANT

Extent of roles specialization

Source: Assaei, H., 1992, Consumer Behavior & Marketing Action. (4th.edn) PWS-KENT Co., Boston, USA, 464

Vacation

Cars

JOINT


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Sri Rejeki Ekasasi, The Role of Children in Family Decision Making ISSN : 0853 7665

28 EDISI KHUSUS JSB ON MARKETING, 2005

Husband-wife roles may be determined by the nature of the pur-

chase influence. The purchase decision within the family may be influencedby he particular role-whether instrumental or expressive-involved (Assael1992). Instrumental roles relate to activities or tasks to be performed, andthey are primarily economic in nature. The spouse who prepares meals,works outside the home, cares for the children, or makes home repairs isperforming an instrumental role (Walters & Bergiel, 1989). In terms of the finalpurchasing decision, decisions on budgets, timing and product specifica-tions would be task oriented. Expressive roles facilitate expression of groupnorms and provide group with social and emotional support. Decisionsabout color, style, and design in the final purchasing decision, are expressivesince they reflect group norms.

Family characteristics also play an important role in terms of influ-encing the nature of purchasing decisions (Loudon & Della Bitta 1993).Culture, subculture, social class, reference groups and social interaction,stage in life cycle, mobility, geographical location, and children are specificcharacteristic that have been identified as influencing family decision making.

In addition, specific conditions such as financial resources of thefamily member, the importance of the decision of the family member, andthe gender role orientations of the family members have been identified ashaving a strong influence on a members family (Mowen 1995). Research-ers have found that, as financial contributions to the family unit increase,influence of the family members on decisions also increases. Similarly, theimportance of the decision to a family member also increases that personsinfluence on a particular decision. A family member who is highly involvedin the purchase and desires that it reflect his or her individual interests and

preferences would have a greater influence than one who is not involved(Mowen 1995).

Gender role relates to the extent to which a family member followstraditional normative conceptions of how males and females should be-have. One study found that as gender roles in the family become moremodern and less traditional, the influence of female members is likely to in-crease. The research on the effects of gender role suggests that familiesthat are less traditional and more modern in their gender role orientationhave a greater tendency to use a joint decision-making style. In general,gender role responsibilities of husbands and wives (Mowen, 1995).

A MODEL OF FAMILY DECISION MAKING

Family decision making is different from individual decision makingand is more complex because of three factors: 1) the likelihood of joint deci-sions, 2) different role specifications for members in the process of deci-sions (Assael 1992). Figure 3 presents a model of family decision-making.


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Figure 3.A Model of Family Decision Making

Post purchase Evaluation

Need Arousal

ImportantPurchase

Riskperceivedas high

No timepressure

RoleSpecification

Perception

BarandEvaluation

Intentionto Buy

Purchase

InformationGatherer

InformationSearch

IndividualDecisionMaking

Conflict

(Resolution)

Decision Maker

Purchasing Agent

Consumer

JointDecisionMaking

According to Shets (1974),joint decision making is more likely inthe following situations: 1) when the level of perceived risk in buying is high,2) when the purchasing decision is more important o the family, 3) whenthere are few time pressures, and 4) for certain demographic groups (e.g.upper and lower socio economic groups, younger families, those with nochildren, and those with only one of the parents working).

Family members play a variety of roles in decision-making. Thereare five roles that could be played by the members of the family. In any

given situation, the same member may take on several or even all five roles(Assael 1992): The information gatherer (gatekeeper), The influencer, Thedecision maker, The purchasing agent, and The end consumer. In a familydecision, there is likely to be some conflict in purchasing objectives, atti-


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130 billion of parental purchases. Finally, as a future market, they will even-

tually buy all food for their own families.In terms of family purchase decisions, children have both directand indirect influence. Direct influence refers to children making requestsfor goods and services such as suggesting where to eat out, telling mom tobuy a certain brand or flavor or ice cream, or making the selection when thefamily is shopping. Indirect influence means that the childrens preferencesare given consideration when parents make purchases (McNeal 1992).

Usually, children make purchase requests while accompanyingparents during shopping trips. In addition to influencing parental purchasesin the shopping environment, children make purchase requests in thehome, in the car, at the movies, during television viewing, on vacation, atmealtime, even in church.

The influence that children have on parental purchases is ex-tensive and principally embraces the following areas (McNeal 1992):1. Items for the children, including snacks, toys, consumer electronics,

clothing, and hobbies equipment and supplies.2. Items for the home, including furnishings, television sets, stereo sys-

tems, and foods and beverages for meals.3. Non-household items for family members, including vacations, automo-

biles, clothing, restaurant meals, and recreation.In addition to these three groups, there are others that are more

difficult to classify. They include family gifts to the childrens grandparentsand family donations to charities. Also, children often influence the parentschoice of stores and shopping centers. Table 2 shows products purchasedand influenced by children.

According to McNeal (1992) following are factors that allow chil-dren to influence the family decision-making:1. Parents are having fewer children and therefore tend to give each child

more things and more say so in buying things.2. There is an increasing number of one-parent households in which the

child is expected to participate more in household decision-making.3. Having children is often postponed until later in life when parents ca-

reers are established and nest eggs built. When children do arrivethey are given much more attention. Part of this attention is in he formof letting children join in with parents when planning purchases.

4. In almost 70 percent of households both parents work (and are workinglonger hours) and they therefore expect more household participationfrom the kids. What parents used to consider as influence is increas-ingly becoming childrens responsibility.


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Table 2. Products purchased and Influenced by children

Products Purchased by Children Products Influenced by ChildrenItems % Items %Candy, gum, and toys 30 Owns clothes 80Soft drinks 28 Toys 80Presents 28 Cereals 72Snacks 24 Ice cream 68Books, magazines 20 Soft drinks 55Fast food 18 Videotapes 43Clothes 13 Toothpaste 31Batteries 12 Radio 30Records, tapes 11 Television sets 18Movie admissions 8 Cars 15

Sports equipment 8Source: Adapted from Assael, H., 1992, Consumer Behavior & Marketing Ac-tion, (4th edn), PSW-KENT co., Boston, USA, p. 471

CHILDHOOD CONSUMER SOCIALIZATION

Childhood consumer socialization refers to the process by whichyoung people acquire skills, knowledge, and attitudes relevant to their func-tioning as consumers in the marketplace (Mowen 1995, p. 673). Childrenlearn about purchasing and consumption primarily from their parents. Tele-visions may have a persuasive influence on what children see and howthey react to a certain brands. However, the family is consumption, includ-ing basic consumer needs (Assed 1992, p. 467).

In recent years, children have acquired more purchasing influencethan ever before. Since many children come from dual-earning and one-parent families, they often have to do the shopping and take care of thehouse when they come from school. As a result, the process of consumersocialization is occurring much earlier and much faster than it used to. Chil-dren are learning to be consumers because they are often the purchasingagents for the family. In addition, McNeal (1992) identifies stages in thedevelopment of childrens consumer behavior pattern as follows:1. Accompanying parents and observing.2. Accompanying parents and requesting3. Accompanying parents and selecting with permission4. Accompanying parents and making independent purchases5. Going to the store alone and making independent purchases


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A MODEL OF CONSUMER SOCIALIZATION

Mowen (1995) presents a simple model of consumer socializationthat can be seen in figure 4. The model suggests that consumer socializa-tion is based upon three components-background factors, socializationagents, and learning mechanism such as cognitive learning, operant condi-tioning, and modeling.

Figure 4A Model of Consumer Socialization

Background Factors Socialization Agents Learning Mechanism Outcomes

Socioeconomic statusSexAgeReligious background

MediaFamily membersPeersteachers

ModelingReinforcementStage of cognitive

Development

The socialized

consumer

Source : Mowen, J. C., 1995, Consumer Behavior, (4thedn), Prentice-Hall, New Jersey, USA, p. 674

Socialization background factors include such variables as theconsumers socioeconomic status, sex, age, social class, and religiousbackground. Socialization agents are those individuals directly involved withthe consumer who have influence because of their frequency of contactwith the consumer, importance to the consumer, or control over rewardsand punishments given to the consumer. Examples of Socialization agentsinclude parents, brothers and sisters, peers, teachers, the media, and per-

sonalities, such as athletes, movie stars, and rock stars.

Parents as consumer socialization agentsParents are what sociologists call primary agents of socialization

(Berger & Berger 1976) and are surely the most important agents involvedin the consumer socialization of children. It is the parents, while the childrenare still in their arms, who introduce their children to the retail store, thestore personnel, the shelves of products, and the procedures of shoppingand buying. It is the parents who initiate the youngster in the use of moneyby permitting the children to give money to the store man and put coins invending machines. It is the parents who encourage the youngster to makehis shopping effort alone to the nearby convenience store.

In addition to the marketplace, the home environment is anothertraining ground for childrens consumer behavior. By observing their par-ents consumer practices and by interacting with their parents about prod-ucts and other consumption activities within the family environment, chil-


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dren have the opportunity to learn both effective and ineffective consumer

behavior (Ward, Wachman & Wartellah 1997). Furthermore, children alsohave the opportunity to see parents using products in the home and hearthem verbally judging the products. There is opportunity to overhear con-versations between mother and father about consumer purchases or evento participate in the decision making process (Davis 1976).

The role of parents in trying to teach their children to be more ef-fective consumers is illustrated by the following findings: Parents teach price-quality relations to their children, including expe-

riences with the use of money and ways to shop for quality products. Parents teach their children how to be effective comparison shoppers

and how to buy products on sale. Parents influence the childs brand preferences. Parents have influenced the childs ability to distinguish fact from ex-aggeration in advertising.

In addition, there is another factor in the family that influences achilds purchasing and consumption behavior that is type of parenting style.Carlson and Grossbart (1992) identify tour types of families:1. Authoritarian parents seek a high level of control over their children

and expect unquestioned obedience. They try to shield children fromoutside influence.

2. Neglecting parents are distant from their children and do not exertmuch control over them. They do little to maintain or encourage theirchildren capabilities.

3. Democratic parents foster a balance between parents and childrensrights. They encourage he childs self-expression and value autonomy.They are warm and supportive, but they also expect mature behaviorfrom the child. If they regard the child as out of bounds, they use dis-cipline.

4. Permissive parent seek to removes as many restraints from children aspossible without endangering them. They believe children have adultrights but few responsibilities.

Peers as consumer socialization agentsThe influence of peers apparently pervades all aspects of chil-

drens consumer behavior. It made my friends hair bouncy too, saidMonica who uses her own shampoo, Revlons Clean & Clear, because, she

says, ads in Teen magazine show how it gives hair bounce and body (Sell-ers 1989, p. 114).Studies about the influence among peers on consumer behavior

are numerous but the results can be summarized under two headings: con-


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formity and satisfaction of needs (McNeal 1987). In the case of conformity,

children are expected to conform to group norms; perhaps more important,children normally want to fit in with a group, usually their age group, in orderto gain acceptance. To firmly weld himself to groups, which will confirmindependence from the family, conformity is necessary, and conspicuousproducts such as clothing conveniently permit this conformity.

In addition, a child accepts the influence of other children in order tsatisfy a variety of needs. McNeal (1987) suggests that the following needscan be satisfied by accepting the influence of others:1. Need to understand. By accepting directions from others, a child can

gain un understanding of certain products and certain aspects of hisenvironment.

2. Need for affiliation. In order to have good relationships with others,there must be some give-and-take. By accepting the influence of oth-ers, children obtain cooperative relationships with others that in turnpermit development of independence from the family.

3. Need for infavoidance. Term of infavoidance refers to the need to avoidhumiliation and embarrassment (Murray 1938). Children are embar-rassed frequently because their limited knowledge causes them tomake mistakes. Their peers can help them to prevent these mistakesthrough recommendations or even subtle signals about consumer be-havior. As illustration, peers can confirm what clothing is in fashion,what brand of shoes is the most popular, and what stores have thebest prices on certain items.

4. Need for achievement. Children, especially in western society, areusually encouraged to achieve: to achieve recognition, win awards,make high grades, and gain friends. Their friends can help them byrecommending various products that may help them achieve certaingoals. For example, a youngster may find that an Apple computerhelps him make higher grades, and Michael Jackson tapes help himobtain friends.

Teachers as consumer socialization agentsThe influence of schoolteachers on the development of the child is

also considered. Perhaps one useful influence consisted of tips how tospend money wisely. In elementary school children learn basic consumereducation. Consumer education refers to the skills and knowledge thatenable an individual to utilities available economic and personal resourcesfor the satisfaction of personal wants and needs (Richardson 1977). Con-sumer education in elementary school embraces such topical units as un-derstanding he marketplace, understanding ones motives, and understand-ing the purchases transaction. Teachers who teach such topics to children


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certainly must be recognized as important agents in the consumer sociali-

zation process of children; they are important because of what they teachand important of their central role in the children life (McNeal 1987).

Media consumer socialization agentsKotler (1994) defines media as one the communication channies

that carry massages without personal contact or interaction. Media consistsof print media (newspapers, magazines, direct mail), broadcast media (ra-dio, television) electronic media (audiotape, posters). The primary mediaused by manufactures to influence childrens consumer behavior is adver-tising, especially television advertising Chritopher Whittle, the CEO ofWhittle Communications, point out that kids are already exposed to 100minutes of ads a day he is adding two minutes more (Sellers 1989, p. 115).

Figure 5.A Model of Children Interacting with Television Advertising

Industry SelfRe ulation

ConsumerProtectionist

TVadvertisingMessage

Receivingand

Processingthe Message

Cognitions:AttitudesDesiresInterestsIntentionsPreferences

Behavior:Requeststo parentsPurchases

Parents

Peers

Public PolicyMaker

Source: McNeal, 1987, Children as Consumers, Insights and Implications, D.C. Health and Company, USA, p.64

Decision toview TV


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In terms of investigating how childrens consumer behavior is indu-

ced by advertising, especially television advertising, McNeal (1987) pre-sents a model of children interacting with television advertising as shown infigure 5 above. This model shows that television advertising may indeedproduce three types of behavior among children: purchases, purchase re-quests, and antisocial behavior. As children have their own money, theymay like a buy desires products that are advertised on the television withoutasking their parents. Purchase requests made by children typically do varyaccording to television viewing. Robertson & Rossiter (1977) divided chil-dren into low and high TV exposure groups and studied their purchase re-quests for toys and games during the Christmas season when ads for theseitems are most intense. The result showed that the high-exposure grouprequested significantly more toys and games than the low-exposure group.Behavior induced by television may not always be positive. An analysis ofthe impact of television advertising on childrens behavior patterns indicatesthat where advertising puts pressure on children to make purchase re-quests to parents, the results can be unpleasant conflicts between parentand child. Many parents fear the socialization effects of advertising, princi-pally because the effects may conflict with their own goals and desires fortheir children (Grossbart & Crosby 1984). Another result may be disap-pointment among the children when requests are denied. It does appear,then that such advertising may actually result in substantial antisocial be-havior among family members and among peers.

In addition, McNeal (1992) presents a model of the effects of ad-vertising on children as show in figure 6. The model has been roughly di-vided into three stages. In the first stage advertising influences children tobuy products and/or to get parents to make purchases. In the secondstage, parents consider the product at the recommendation of the child. Instage three, the attitudes of the child and parents that have been inducedby advertising and purchase behavior determine their future behavior toward advertised products.


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Figure 6

The Effect of Advertising to Children

Advertising Child

Product

Brand

Producer

Seller

Advertisement

Advertising

Influence onParents

Purchase

InfluencePeers

Product

Brand

Producers

Seller

Advertisement

Advertising

RefusalOr negotiation

ProvidingMoney

Parents

ChildsEvoked set

Preference

Loyalty

Disliking

Childrens futurebehavior

Parents futurebehavior

ParentsEvoked set

Preference

Loyalty

Disliking

Behavior

Attitudes Attitudes

Behavior

Stage 1 Stage 2 Stage 3

Source: Mc Neal, 1992, Kids as Costumers,A Handbook of Marketing to Children, Macmillan, Inc.,New York, p. 145

Purchase

OUTCOMES OF THE CONSUMER SOCIALIZATION PROCESS

The outcomes of the consumer socialization have not been de-fined by research; therefore, some are simply unknowns (McNeal 1987).However a set of cognitions (attitudes and knowledge) and a set of behav-ior that were revealed in a study of children under the result of consumer

socialization via the various socialization agents. This list is at least repre-sentative of consumer socialization outcomes among children and is indica-tive of the complexity and importance of this process.


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sumers in the marketplace, through or media, parents, peers, and teachers

has been identified as that of consumer socialization agents for children.Parents are the primary agent of socialization in terms of teachingthe children from the earlier age by influencing them with their consumerbehavior. Peers, in addition, were also found to be an important socializa-tion agent. They contributed particularly to the purpose of conformity andsatisfaction of needs among children. Moreover, teachers role as socializa-tion agents can be recognized by a their contribution in teaching consumereducation at school. Finally, media, especially television has been pointedout as socialization agents that have a strong influence on child consumerbehavior.

REFERENCES

Assael, H., 1992, Consumer Behavior & Marketing Action, (4th edn), PWs-KENT publishing Co., Boston, USA.

Berger, P.L., and Berger, B., 1979, Becoming a Member of Society, inChildren as Consumers, McNeal, J. U., eds., Texas, USA.

Burns, D.J., 1992, Husband-Wife Innovative Consumer Decision Making: Ex-ploring the Effect on Family Power, in The Family as a Con-sumer, Burns, D.J., eds., New York, USA.

_______, 1993, The Family as Consumer, Psychology & Marketing, Vol.10(2): 79-80, March/April, John Wiley & Sons, Inc, New York,USA.

Carlson, L., and Grossbart, S., 1988, Parental Style and Consumer So-cialization of Children, in Consumer Behavior & Marketing Ac-

tion, Assael H., eds., Boston, USA.Davis, H.L., 1976, Decision Making Within the Household, in Consumer

Behavior & Marketing Action, Assael, H.eds., Bostn, USA.Grossbart, S.L., and Crosby, L.A., 1984, Understanding the Bases of Pa-

rental Concern and Reaction to Childrens Food Advertising, inChildren as Consumers, McNeal, J.U., eds., Texas, USA.

Kotler, P., 1994, Marketing Management, Analysis, Planning, Implementation,and Control, (8th edn), Prentice-Hall International editions, New Jer-sey, USA.

Lackman, C., and Lanasa, J.M., 1993, Family Decision Making Theory: AnOverview and Assessment, Psychology & Marketing, Vol. 10(2): 79-80, March/April, John Wiley & Sons, Inc. New York, USA.

Loudon, D.L., and Della Bita, A.J., 1993, Consumer Behavior, (4th edn),McGraw-Hill International edition, USA.

McNeal, J.U., 1987, Children as Consumers, Insights and Implications,D.C. Heath and Company, Texas, USA.


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_______, 1992, Kids as Customers Behavior, (4th edn), Prentice-Hall Inc.,

USA.Murray, H.A., 1938, Explorations in Personality, in Children as Consu-mers, McNeal, J.U., eds., Texas, USA.

Richardson, L., 1977, Consumer Education: A Position on the State of theArt, in Children as Consumers, McNeal, J.U., eds., Texas, USA.

Robertson, T.S., and Rossiter, J.R., 1977, Childrens Responsiveness toCommercials, in Children as Consumers, McNeal, J.U., eds.,Texas, USA.

Schiffman, L.G., and Kanuk, L.L., 1983, Consumer Behavior, (3rd edn)Prentice-Hall, Inc., New Jersey, USA.

Sellers, P., 1989, The ABCs of Marketing to Kids, Fortune (FOR), Vol.119, May 8, USA.

Sheth, J.N., 1974,A Theory of Family Buying Decisions,

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Walters, C.G., and Bergiel, B.J., 1989, Consumer Behavior, South-WesternPublishing Co., Ohio, USA.

Ward, S., Wackman, D., and Wartella, E., 1977, How Children Learn toBuy, in Children as Consumers, McNeal, J.U., eds., Texas, USA.

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